The global financial markets are currently experiencing heightened volatility, leading to increased risk aversion amongst institutional investors. This trend has resulted in a significant decrease in exposure to risky assets such as stocks and bonds, with funds shifting towards safe havens like gold and cash. The upcoming release of Nvidia’s earnings report and the Federal Reserve’s key meeting minutes are expected to further influence investor sentiment.
A surge in market volatility is creating a risk-off environment, leading experts to anticipate significant spillovers into cryptocurrency markets. This shift has been observed across various asset classes, including stocks, credit markets, and gold prices, which have witnessed a four-day decline following this trend.